Marathon Digital Holdings Inc (MARA)
Fixed asset turnover
| Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 501,574 | 387,508 | 259,157 | 202,180 | 199,776 | 197,548 | 227,846 | 238,681 | 188,647 | 148,895 | 92,824 | 41,952 | 12,910 | 4,337 | 2,126 | 1,600 | 1,664 | 1,303 | 1,153 | 1,163 |
| Property, plant and equipment | US$ in thousands | 802,332 | 671,772 | 741,659 | 783,865 | 714,916 | 273,026 | 403,523 | 314,257 | 333,317 | 276,243 | 93,932 | 80,151 | 41,961 | 17,224 | 4,682 | 3,614 | 2,836 | 3,755 | 4,714 | 760 |
| Fixed asset turnover | 0.63 | 0.58 | 0.35 | 0.26 | 0.28 | 0.72 | 0.56 | 0.76 | 0.57 | 0.54 | 0.99 | 0.52 | 0.31 | 0.25 | 0.45 | 0.44 | 0.59 | 0.35 | 0.24 | 1.53 |
March 31, 2024 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $501,574K ÷ $802,332K
= 0.63
Fixed asset turnover measures how effectively a company utilizes its fixed assets to generate revenue. A higher fixed asset turnover indicates efficient asset utilization. Looking at the trend for Marathon Digital Holdings Inc over the past few quarters, we can observe fluctuations in the fixed asset turnover ratio.
In the most recent quarter, as of March 31, 2024, the fixed asset turnover ratio stood at 0.63. This suggests that for every dollar invested in fixed assets, the company generated $0.63 in revenue. Comparing this to the previous quarter, there was a slight improvement from 0.58.
Analyzing further back, we see that the fixed asset turnover ratio has been fluctuating over the quarters with values ranging from lows of 0.24 to highs of 0.99. This variability indicates potential inconsistencies in how efficiently the company is utilizing its fixed assets to generate revenue.
It is crucial for Marathon Digital Holdings Inc to strive for a consistent and ideally increasing trend in the fixed asset turnover ratio to ensure optimal utilization of its fixed assets. Management should focus on strategies to improve operational efficiency and revenue generation from these assets to drive overall company performance and profitability.
Peer comparison
Mar 31, 2024